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Cocoa gains after hitting fresh one month low amid stocks overhang

By Reuters News

LONDON, Nov 6 (Reuters) - Cocoa futures on ICE rose on Friday after hitting fresh one-month lows earlier amid an ongoing stocks overhang, while raw sugar also hit its lowest in a month.


COCOA

* London cocoa rose 1.8% to £4,088 per metric ton at 1359 GMT, after hitting a one-month low of £3,948

* The contract was heading for a fourth consecutive weekly loss as sluggish demand growth weighs and exchange stocks hit their highest in 2-1/2 years

* Commerzbank noted that smaller crops are expected this season in top three growers Ivory Coast, Ghana and Ecuador, thanks primarily to the strong El Nino weather pattern

* It added the fact that cocoa prices are nevertheless falling "is likely to reflect concerns about demand"

* A dealer said recent data showing strong third-quarter 'grind' or demand numbers in key consuming regions came about because chocolate makers are restocking, not due to strong demand

* "Chocolate makers are blaming high cocoa prices for disappointing earnings and slow growth," noted broker ADMIS

* New York cocoa ​​rose 1.6% to $5,373 a ton after setting a one-month low of $5,192


SUGAR

* Raw sugar fell 1.3% to 18.33 cents per lb, having hit a one-month low of 18.22

* Sugar is under pressure from overall energy price weakness, which tends to prompt cane mills to produce more sugar and less biofuel ethanol

* White sugar slipped 0.2% to $499 a ton

* White sugar is focussed on next week's December contract expiry , where a delivery of about 250,000 tons is anticipated, in line with the contract's December average


COFFEE

* Robusta coffee slipped 0.2% to $3,232 a metric ton, having slumped last week to a 2-1/2-year low of $3,140

* Robusta is under pressure overall from expectations for a decent harvest this season from top grower Vietnam

* Arabica coffee rose 0.3% to $2.7005 per lb, having hit a more than one-month low of $2.6810 per lb earlier

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